FINANCE Minister Sri Mulyani Indrawati has revised rule of palm oil, crude palm oil (CPO) and its derivatives export levies which is going to come into effect from 1 June 2019. Under the new regulation, the government will not collect levies from palm exporters when prices are below a threshold of U$570 per ton. In the interim, from 1 March to 31 May 2019, the government set levies on palm oil, CPO and its derivatives export at zero.
The rule is laid down in the Finance Minister Regulation No.23/PMK.05/2019 on the second amendement to Finance Minister Regulation No 81/PMK.05/2018 concerning Tariff of Service by the Indonesian Oil Palm Plantation Fund Management Agency (BPDPKS).
According to the new regulation which was officially signed on 6 March 2019, as of 1 June 2019 BPDPKS will not collect levies from palm oil exporters when prices are below a threshold of U$570 per ton, but will charge between US$5, US$10, US$15, US$ 20, US$25 once CPO prices are in a range of US$570-US$619 per ton. The levy will rise to US$20, US$30, US$40, US$50 when prices hit above US$619 per ton.
It is also said that the revision on tariff of Service by BPDPKS had been discussed and reviewed by a team coordinated by Directorate General of Treasury at the Ministry of Finance. *** (Source:Katadata.co.id)